EQUATION Subcommand (2SLS command)

EQUATION specifies the structural equations for the model and is required. The actual keyword EQUATION is optional.

• An equation specifies a single dependent variable, followed by keyword WITH and one or more predictor variables.
• You can specify more than one equation. Multiple equations are separated by slashes.

Example

2SLS EQUATION=Y1 WITH X1 X2
  /INSTRUMENTS=X1 LAGX2 X3.

• In this example, Y1 is the dependent variable, and X1 and X2 are the predictors. The instruments that are used to predict the X2 values are X1, LAGX2, and X3.